CHENNAI: The Enforcement Directorate (ED) has taken over the investigation into the alleged Rs 100crore private school recognition racket in Tamil Nadu , registering an Enforcement Case Information Report (ECIR) under the Prevention of Money Laundering Act (PMLA) based on the FIR registered by the Chennai Central Crime Branch (CCB), with P T Arasakumar named as one of the prime accused.
Police conducted searches on the premises linked to the former minister and his associates in Chennai and Trichy on Sept 16 and seized documents and electronic devices. Police have identified and examined bank accounts linked to the accused and their associates, including 20 accounts linked to Arasakumar and his family and 29 accounts linked to Muthukumar, according to reports. The financial trail has been a key part of the CCB investigation.
Police have alleged that Arasakumar, who was associated with an organisation representing private schools, collected more than Rs 100 crore from school managements by promising to get various approvals. The investigation has so far covered complaints relating to 177 private schools. Arasakumar, who had been in custody since June 27, was granted default bail by a special court after the police failed to file the final report within the statutory 90-day period.
ED sources said the agency had obtained the FIR and other case records from the CCB and would first conduct a preliminary investigation into the alleged financial transactions and money trail. A decision on questioning the accused and other suspects would be taken after the preliminary scrutiny, the sources said. The ED probe follows the CCB investigation into allegations that large sums of money were collected from private school managements by promising to secure govt recognition, permanent recognition, upgradation of schools, DTCP approvals and other statutory clearances. The CCB case was registered following complaints from private school managements. The CCB expanded its investigation to examine the alleged financial and documentary links of several persons, including former school education minister Anbil Mahesh Poyyamozhi. Meanwhile, the CCB investigation is also on. The court made it clear that the bail was granted on account of the investigating agency’s failure to complete the investigation within the prescribed period and was not a finding on the merits of the case.